Lennar Homebuilding Investments In Unconsolidated Entities (Tables)

6 Months Ended

May 31, 2012

Schedule of Equity Method Investments [Line Items]

Statements of Operations



	Three Months Ended				Six Months Ended
	May 31,				May 31,
(In thousands)	2012			2011	2012		2011
Revenues	$	70,869		83,251	153,513		150,314
Costs and expenses	94,288			63,894	177,710		152,474
Other income	—			—	—		123,007
Net earnings (loss) of unconsolidated entities	$	(23,419	)	19,357	(24,197	)	120,847
Lennar Homebuilding equity in earnings (loss) from unconsolidated entities (1)	$	(9,381	)	2,417	(8,298	)	11,078

(1)

For both the three and six months ended May 31, 2012, Lennar Homebuilding equity in earnings (loss) includes $5.4 million of valuation adjustments related to strategic asset sales at Lennar Homebuilding's unconsolidated entities. For the six months ended May 31, 2011, Lennar Homebuilding equity in earnings (loss) included a $15.4 million gain related to the Company’s share of a $123.0 million gain on debt extinguishment at a Lennar Homebuilding unconsolidated entity, partially offset by $4.5 million of valuation adjustments related to assets of Lennar Homebuilding’s unconsolidated entities.

Statements of Operations



	Three Months Ended				Six Months Ended
	May 31,				May 31,
(In thousands)	2012		2011		2012	2011
Revenues	$	119,123	116,044		241,528	232,932
Costs and expenses	51,996		35,045		103,181	86,516
Other income (expense), net (1)	37,335		(165,918	)	303,775	(79,130	)
Net earnings (loss) of unconsolidated entities	$	104,462	(84,919	)	442,122	67,286
Rialto Investments equity in earnings (loss) from unconsolidated entities	$	5,569	(2,973	)	24,027	1,552


(1)	Other income (expense), net for the three and six months ended May 31, 2012 and 2011 includes the AB PPIP Fund’s mark-to-market unrealized gains and unrealized losses, of which the Company’s portion is a small percentage.

Balance Sheets



(In thousands)	May 31, 2012		November 30, 2011
Assets:
Cash and cash equivalents	$	113,225	90,584
Inventories	2,905,970		2,895,241
Other assets	237,225		277,152
	$	3,256,420	3,262,977
Liabilities and equity:
Account payable and other liabilities	$	276,793	246,384
Debt	868,719		960,627
Equity	2,110,908		2,055,966
	$	3,256,420	3,262,977

Summary Of Net Recourse Exposure To Unconsolidated Entities

The summary of the Company’s net recourse exposure related to Lennar Homebuilding unconsolidated entities in which the Company has investments was as follows:



(In thousands)	May 31, 2012			November 30, 2011
Several recourse debt - repayment	$	44,889		62,408
Joint and several recourse debt - repayment	26,650			46,292
The Company’s maximum recourse exposure	71,539			108,700
Less: joint and several reimbursement agreements with the Company’s partners	(22,820		)	(33,795	)
The Company’s net recourse exposure	$	48,719		74,905

Summarized Balance Sheets Of Unconsolidated Entities With Recourse Debt

The summarized balance sheets of Lennar Homebuilding’s unconsolidated entities with recourse debt were as follows:



(In thousands)	May 31, 2012		November 30, 2011
Assets	$	1,824,741	1,865,144
Liabilities	$	777,650	815,815
Equity	$	1,047,091	1,049,329

Total Debt Of Unconsolidated Entities

The total debt of the Lennar Homebuilding unconsolidated entities in which the Company has investments was as follows:



(In thousands)	May 31, 2012			November 30, 2011
The Company’s net recourse exposure	$	48,719		74,905
Reimbursement agreements from partners	22,820			33,795
The Company’s maximum recourse exposure	$	71,539		108,700
Non-recourse bank debt and other debt (partner’s share of several recourse)	$	105,156		149,937
Non-recourse land seller debt or other debt	26,343			26,391
Non-recourse debt with completion guarantees	490,250			441,770
Non-recourse debt without completion guarantees	175,431			233,829
Non-recourse debt to the Company	797,180			851,927
Total debt	$	868,719		960,627
The Company’s maximum recourse exposure as a % of total JV debt	8		%	11	%